NVIDIA Corporation $NVDA is Jennison Associates LLC's Largest Position

Key Points

• Jennison Associates remains heavily invested in NVIDIA, holding 64.35 million shares worth approximately $12.9 billion after reducing its position by 13% in the second quarter. NVIDIA still represents 7.7% of the firm’s portfolio and is its largest holding.
• NVIDIA reported strong quarterly growth, with revenue up 105.9% year over year to $96.22 billion and EPS of $2.22, exceeding analyst expectations. CEO Jensen Huang also expects chip sales to roughly double next year as AI infrastructure demand remains robust.
• Analysts maintain a broadly bullish outlook, with a consensus “Buy” rating and an average price target of $324.34, although investors face risks from elevated valuation, potential AI-spending slowdowns, rising memory costs and competition.

Jennison Associates LLC lowered its stake in shares of NVIDIA Corporation (NASDAQ:NVDA - Free Report) by 13.0% in the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 64,347,295 shares of the computer hardware maker's stock after selling 9,630,791 shares during the period. NVIDIA comprises about 7.7% of Jennison Associates LLC's investment portfolio, making the stock its biggest holding. Jennison Associates LLC owned 0.27% of NVIDIA worth $12,875,250,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds have also modified their holdings of NVDA. Lifetime Wealth Management P.C. acquired a new position in NVIDIA in the 4th quarter worth about $26,000. Longview Financial Advisors Inc. purchased a new stake in shares of NVIDIA during the 1st quarter worth about $27,000. Phillip James Consulting Co. acquired a new stake in shares of NVIDIA during the 1st quarter valued at about $40,000. Syntax Research Inc. grew its stake in shares of NVIDIA by 62.5% in the 4th quarter. Syntax Research Inc. now owns 260 shares of the computer hardware maker's stock valued at $49,000 after buying an additional 100 shares in the last quarter. Finally, Frankly Finances LLC bought a new stake in shares of NVIDIA in the 2nd quarter valued at approximately $60,000. 65.27% of the stock is currently owned by hedge funds and other institutional investors.

Insider Transactions at NVIDIA

In related news, CFO Colette Kress sold 34,918 shares of the business's stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the completion of the transaction, the chief financial officer owned 765,103 shares of the company's stock, valued at approximately $167,595,812.15. The trade was a 4.36% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Timothy Teter sold 30,000 shares of the stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $217.88, for a total value of $6,536,400.00. Following the sale, the executive vice president owned 2,687,660 shares of the company's stock, valued at approximately $585,587,360.80. The trade was a 1.10% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 1,735,658 shares of company stock worth $392,663,865. Company insiders own 3.94% of the company's stock.

NVIDIA News Summary

Here are the key news stories impacting NVIDIA this week:

• Positive Sentiment: CEO Jensen Huang said NVIDIA expects to sell roughly twice as many chips next year, reinforcing expectations that hyperscaler spending on AI data centers remains strong. The forecast includes demand for GPUs, CPUs, networking equipment and complete server racks. Nvidia Chip Sales Could Double Next Year, CEO Jensen Huang Says
• Positive Sentiment: Analysts and market commentators increasingly view NVIDIA as attractively valued relative to its growth. Its scale, diversified AI exposure, high profitability and lower forward valuation multiple give it an advantage over peers such as Credo, while some estimates suggest revenue growth could remain near 70% in fiscal 2028. Credo vs. NVIDIA After Earnings
• Positive Sentiment: AI infrastructure demand is expanding beyond processors into high-bandwidth memory and optical networking. NVIDIA has identified memory and silicon photonics as potential bottlenecks and has committed capital and purchase agreements involving suppliers such as Coherent and Lumentum, signaling sustained demand throughout its supply chain.
• Positive Sentiment: New ecosystem activity supports NVIDIA’s long-term growth narrative. Cloud partner CoreWeave is deploying next-generation Vera Rubin clusters, while NVIDIA-backed Nscale filed for a U.S. IPO. NVIDIA technology is also being used in autonomous trading systems, quantum-computing research and planned enterprise augmented-reality products.
• Neutral Sentiment: Speculative initiatives, including potential orbital data centers with SpaceX and NVIDIA’s quantum-computing software, could create future demand but are unlikely to materially affect near-term revenue.
• Negative Sentiment: Investors remain alert to competition from Huawei’s planned 2027 Ascend chips, possible AI-spending deceleration, rising memory costs that could pressure gross margins, and the effects of higher interest rates. The stock’s elevated valuation and dependence on continued hyperscaler capital expenditure also leave it sensitive to disappointing guidance.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on NVDA shares. Raymond James Financial set a $515.00 price objective on shares of NVIDIA and gave the company a "strong-buy" rating in a research report on Thursday, August 27th. Citigroup reissued a "buy" rating and issued a $315.00 target price (up from $300.00) on shares of NVIDIA in a research report on Thursday, August 27th. TD Cowen restated a "buy" rating on shares of NVIDIA in a research note on Tuesday, August 18th. BMO Capital Markets set a $340.00 price target on shares of NVIDIA and gave the company an "outperform" rating in a report on Thursday, August 20th. Finally, Royal Bank Of Canada lifted their price objective on shares of NVIDIA from $300.00 to $330.00 and gave the company an "outperform" rating in a research note on Thursday, August 27th. Three research analysts have rated the stock with a Strong Buy rating, fifty have issued a Buy rating and two have given a Hold rating to the company's stock. According to MarketBeat, NVIDIA has a consensus rating of "Buy" and an average target price of $324.34.

NVIDIA Trading Up 1.3%

Shares of NVDA stock opened at $222.27 on Friday. NVIDIA Corporation has a 12 month low of $164.27 and a 12 month high of $236.54. The company has a market cap of $5.36 trillion, a PE ratio of 28.10, a price-to-earnings-growth ratio of 1.72 and a beta of 2.22. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14. The business's 50 day moving average is $214.66 and its two-hundred day moving average is $204.29.

NVIDIA (NASDAQ:NVDA - Get Free Report) last posted its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.09 by $0.13. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The business had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same period in the prior year, the firm earned $1.05 EPS. NVIDIA's quarterly revenue was up 105.9% compared to the same quarter last year. Equities analysts predict that NVIDIA Corporation will post 9.25 EPS for the current year.

NVIDIA Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 0.4%. The ex-dividend date of this dividend is Thursday, September 10th. NVIDIA's dividend payout ratio (DPR) is currently 12.64%.

NVIDIA Company Profile

NVIDIA Corporation is a technology company that designs accelerated computing platforms, graphics processors and related software. Its products are used for artificial intelligence, machine learning, high-performance computing, computer graphics, data-center applications and other workloads that benefit from parallel processing.

The company's offerings include GeForce graphics processing units (GPUs) and software for gaming and personal computers; data-center GPUs, systems and networking products; and professional visualization solutions for design, engineering, media and scientific applications.

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